Emirati Billionaire Pledges $20 Billion Investment in US Data Centers

PALM BEACH, FL: Emirati billionaire Hussain Sajwani has announced a $20 billion investment in the burgeoning US data center industry, a move unveiled alongside US President-elect Donald Trump during a press conference at Trump’s Mar-a-Lago residence in Palm Beach, Florida.

The announcement underscores the focus on economic revitalization as Trump prepares to assume office.

“We’re planning to invest $20 billion and possibly more, depending on market opportunities,” said Sajwani, chairman of Dubai-based real estate developer DAMAC. The company, known for owning the Middle East’s only Trump-branded golf course in Dubai, has maintained close ties with Trump, including celebrating the New Year together in Florida.

Trump highlighted Sajwani’s commitment as evidence of the positive impact of his election victory, stating, “He was very inspired by the election and wouldn’t have done it without it.” Trump also reaffirmed his intention to fast-track large-scale investments by streamlining environmental regulatory reviews.

Economic Growth and Data Center Expansion

Sajwani’s pledge aligns with Trump’s broader strategy to boost domestic industries.

The president-elect has called for increased tariffs on Chinese goods and tighter restrictions on exporting advanced AI chips to China—a move aimed at preserving US technological dominance.

The data center sector, critical for supporting the infrastructure behind artificial intelligence and cloud computing, has seen massive growth in recent years.

The wave of investment in generative AI technologies, spurred by the release of OpenAI’s ChatGPT in late 2022, has driven demand for high-performance data centers.

Major players like Microsoft have announced significant investments to expand AI capacities, with the tech giant planning to spend approximately $80 billion this fiscal year on related infrastructure.

History of Ambitious Announcements

Trump’s penchant for headline-grabbing economic announcements has not always translated into concrete outcomes.

Early in his first term, he promoted a $10 billion Foxconn factory in Wisconsin, which promised thousands of jobs but largely failed to materialize.

However, Sajwani’s commitment follows a recent pledge by SoftBank’s CEO Masayoshi Son to invest $100 billion in the US over four years, primarily in AI-focused initiatives.

Strategic Implications

The Biden administration had tightened export controls on AI chips to China, and Trump’s nominations for key economic and diplomatic roles suggest a continuation of hardline policies against Beijing.

By attracting significant foreign investments like Sajwani’s, Trump aims to fortify the US’s position in the global technology race.

Sajwani’s investment marks a significant boost to the US economy and reflects the deepening ties between DAMAC and Trump, further solidifying their partnership as the new administration gears up for its term.

The planned $20 billion commitment is expected to significantly bolster the country’s data infrastructure and its role in the AI revolution.